If you’ve installed solar panels at home, you’re already saving on electricity bills – but did you know you can also earn money from the energy you don’t use? Thanks to the Smart Export Guarantee (SEG), homeowners in the UK can get paid for exporting surplus electricity back to the National Grid. It’s a simple, government-backed scheme designed to reward solar users for generating clean energy and contributing to the nation’s renewable goals.
What Is the Smart Export Guarantee (SEG)?
The Smart Export Guarantee is a UK Government initiative launched in January 2020. It requires licensed electricity suppliers (with more than 150,000 customers) to pay households and small businesses for the excess renewable electricity they export to the grid.
If your solar PV system produces more power than your home consumes, that surplus doesn’t go to waste – it’’s automatically sent to the grid, and your energy supplier pays you for it through an SEG tariff.
Who Can Qualify for SEG Payments?
To qualify for SEG solar payments, your system must meet a few basic requirements:
- Your solar PV system must be 5MW or smaller in capacity (typical for homes).
- The system must be MCS-certified (Microgeneration Certification Scheme).
- You’ll need a smart meter or a half-hourly export meter to record the electricity you send to the grid.
- You must register with an approved SEG licensee (your energy supplier) offering a tariff that suits your needs.
Whether you’re a homeowner with rooftop solar panels or a small business with a solar PV installation, you can take advantage of SEG to start earning from your clean energy generation.
How Much Can You Earn from the SEG?
SEG rates vary between energy suppliers. Some pay a fixed rate per kilowatt-hour (kWh) exported, while others offer variable tariffs that change with market conditions.
While SEG payments may not make you rich overnight, they can offset your remaining grid electricity costs and improve your solar return on investment over time. The more energy your system exports, the higher your annual earnings.
Combining SEG with Solar Batteries
If you already have or plan to install a solar battery, you can maximise both your energy savings and SEG income. A battery stores excess solar power during the day and allows you to use it later when your panels aren’t generating electricity. Once the battery is full, any additional surplus can still be exported to the grid under the SEG scheme – ensuring nothing goes to waste.
Benefits of the Smart Export Guarantee
- Get Paid for Your Solar Power – The SEG turns your solar panels into a small, steady income source, rewarding you for every unit of renewable energy you send to the grid.
- Lower Your Energy Costs – With a solar PV system, you already save money by using free electricity during the day. SEG adds an extra benefit by helping you earn from the excess energy you produce.
- Support a Greener Future – Every kWh exported under the Smart Export Guarantee helps reduce the UK’s reliance on fossil fuels – meaning you’re not only earning but also helping build a cleaner energy future.
How to Apply for the SEG
- Check your eligibility: Ensure your solar PV system is MCS-certified and your meter records half-hourly exports.
- Compare SEG tariffs: Different energy suppliers offer different rates – it’s worth comparing before you sign up.
- Submit your application: Apply directly with your chosen supplier by providing your MCS certificate, meter details, and proof of address.
- Start exporting: Once approved, your smart meter will track how much electricity you send to the grid and your supplier will pay you regularly.
Final Thoughts
The Smart Export Guarantee is one of the simplest ways to earn from your solar panels while supporting renewable energy growth in the UK. By combining SEG payments with self-consumption savings and possibly a solar battery, you can make the most of your investment and enjoy long-term financial and environmental benefits.
If you’re planning to install solar panels or already have a system in place, now is the perfect time to explore how the Smart Export Guarantee can start paying you back for every ray of sunshine your panels capture.